If you’re a business owner, accountant or involved in the tax world in any way, you’ve undoubtedly been made aware of the Wayfair decision.
In short, that decision, which said that South Dakota’s economic nexus law was constitutional and opened the door for other states to do the same, effectively made it easier for companies to create nexus in a state for sales tax purposes, thus creating a collecting and filing responsibility.
Over three years later and every single state that has a general sales tax has implemented some form of Wayfair-related legislation, whether economic nexus or marketplace facilitation. However, because each state has the freedom to do so independently, tax rates and the triggers for these Wayfair laws vary wildly. For businesses, this lack of cohesion has created a tax burden that, for some, is nearly unbearable.
The Complication At The Heart Of Wayfair
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